What Are the Income-Tax Consequences for Life Insurance Policies?

What Are the Income-Tax Consequences for Life Insurance Policies?

The value of a life insurance policy can impact a number of situations. For example, the possibility of a taxable gain if the policy is surrendered, which is often omitted in sales presentations. The inside interest is typically income tax deferred, which is either income-tax exempt or partially income tax exempt – depending upon how the policy terminates and the circumstance surrounding termination.

Read More

How Can I Replace a Permanent Life Insurance Policy?

How Can I Replace a Permanent Life Insurance Policy?

Because of the cash-value elements and its complexities, it is much more difficult to analyze a permanent life insurance policy in a potential replacement situation. Also, there are many different types of permanent policies. The worksheet provided here offers assistance on any policies that builds cash value, including whole life, universal life, variable life, variable universal life, and other variations.

Read More

Ask Questions Before Replacing a Life Insurance Policy

Ask Questions Before Replacing a Life Insurance Policy

Life insurance is complex financial tool, which is unique in the way it provides financial stability and security for an insured’s beneficiaries. With this being said, every decision about one’s life insurance policy should be carefully looked over. Replacing one’s life insurance policy for another policy is one of the biggest decisions you can make. It could either be a very good or very bad decision, which is why you should ask yourself the following questions.

Read More

Why Should I Keep My Current Life Insurance Policy?

Why Should I Keep My Current Life Insurance Policy?

Replacing an existing life insurance policy is a difficult decision to make, which may even require additional assistance from your life adviser or insurance company. Replacing your policy could either be a very good or very bad decision. While replacing your life insurance policy may work in some instance, most of the time this isn’t the case. There are many factors to take into consideration before replacing your policy.

Read More

What Is a Rated Life Insurance Premium?

What Is a Rated Life Insurance Premium?

During the underwriting process, an insurance company will determine whether or not you qualify for life insurance and, if so, at what rate classification. At this point, the company may determine that the applied for coverage cannot be issued due to an applicant’s health or lifestyle risks. If that’s the case, the company is likely to offer the applicant insurance on a modified (i.e., rated) basis.

Read More
1 2 3 4 8